The Research On Centralized Strategy Of Shandong Donge Guojiaotang Pharmaceutical Company

Due to its unique value, donkey-hide gelatin is an important herb medicine. Running under planned economy, donkey-hide gelatin companies usually produce this medicine by the production plan made by superior department and then sell them following the plan. Thus, donkey-hide gelatin is not a product in concept as well as company operation.This thesis recalled the theories about company strategy management, particularly in competition strategy. Its strength, weakness, applicable fields and risks in practice were analyzed. Then Shandong Donge Ejiaotang pharmaceutical company's share structure, internal control and its main business was introduced. Its external environment was also analyzed. For tis external environment the analysis is conducted using PEST model. Donge Ejiaotang's competition environment, its bargaining power to supplier, bargaining power to customer, threats to potential entrants and alternative product threats was discussed and analyzed. Then the company's strength, weakness, opportunities and threats was summarized. After the analysis is done, the company's strategical objectives, and strategical path is concluded. In last part, Done Ejiaotang's centralized strategy was designed from the perspective of product, brand and high end orientation. The organizational support system was also designed. The system includes technological innovation, organizational optimization, value chain corporation, increasing R&D investment, HR system building and the information svstem establishment.